McLennan County PFC reviews jail financing, reappoints officers and sets 2026 meeting date

McLennan County Public Facilities Corporation members met Jan. 21 and reviewed the PFC’s purpose and finances, approved a resolution reappointing officers and directors, set the corporation’s 2026 annual meeting date for Jan. 20 and ratified the minutes of the prior meeting.

McLennan County Judge Scott M. Felton opened the meeting at about 11 a.m. and called for “Proof of posting, please.” The court-created nonprofit public facilities corporation (PFC) — established in September 2008 under Chapter 303 of the Texas Local Government Code — was formed to finance and, where applicable, operate eligible detention and correctional facilities on behalf of the county.

Frances, a staff member who summarized the financials, said the PFC maintains two funds: an operating fund and a debt-service fund. “We accumulate revenues from the housing of prisoners, and then we use those funds to take care of the debt service on the original bond for the Jack Harwell Detention Center,” Frances said. She and other speakers said the bonds were restructured in 2015 and remain taxable; the remaining principal is being reduced by a little more than $2 million per year and the bonds are scheduled to be paid off in 2035.

Discussion during the meeting noted that the PFC can be dissolved once the bonds are paid off or retained for future financing of other public facilities. Meeting participants also recounted that restructuring the bonds in 2015 avoided a potential IRS challenge to private activity financing and produced what was described in the meeting as “significant savings.” The meeting record included an estimate discussed orally of about $3 million to $4 million in savings from prior restructuring; that figure was not presented as a formal accounting in the meeting packet.

On formal actions, the corporation approved a resolution to reappoint officers and directors; the board membership recited in the meeting included Scott M. Felton as president, and commissioners James Smith (Precinct 1), Deal Wilson (Precinct 2), Will Jones (Precinct 3) and Ben Perry (Precinct 4) as directors. The officers named were Andy Harwell, county clerk, as secretary, and Bill Helton, county treasurer, as treasurer. A motion to approve the resolution was made and seconded, and the chair called for a voice vote; the motion passed.

The board also approved setting the annual meeting date for 2026 on Tuesday, Jan. 20, 2026, by motion and voice vote, and ratified the minutes of the previous meeting, again by voice vote.

The meeting adjourned at about 11:08 a.m.